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SIE Knopman Practice Exam Questions with correct Answers
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SIE Knopman Practice Exam Questions with correct Answers
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SIE Knopman Practice Exam Questions with correctAnswers
When a broker-dealer acts on an agency basis to help a customer
complete trades, the firm normally is compensated through Correct
Answer-commissions
Investment company financial statements are sent to shareholders
Correct Answer-semiannualy
The credit quality of an exchange-traded note is Correct Answer-based
on the credit worthiness of the issuer, typically the investment bank that
structures the note
When opening a margin account, the agreement that customers sign to
pledge their securities as collateral for a loan from the broker-dealer is
the Correct Answer-hypothecation agreement
When comparing rights and warrants, which of the following statements
is true? Correct Answer-The exercise price of a right is generally below
the price of the stock when the right is issued; the exercise price of the
warrant is generally above the price often stock when it is issued
A registered representative located in California makes a 7:30pm cold
call to a potential customer in NJ. This is Correct Answer-prohibited
because cold calls can only be made between 8am and 9pm in the
potential customer's time zone
, Investors whose bonds have been called as interest rates have fallen are
now facing Correct Answer-reinvestment rate risk
Helen opened a Roth IRA last year and wants to know what part of this
year's contributions she can deduct. The answer is Correct Answer-she
can't deduct any amount
During the accumulation phase of a variable annuity, dividends, interest,
and capital gains Correct Answer-may be reinvested without any current
tax liability
Dollar limits on a 529 plan contributions per beneficiary are set by
Correct Answer-various states
With regard to the price of closed-end fund shares held by investors
which of the following statements is TRUE? Correct Answer-Shares
may be sold at a discount or premium to their NAV
A customer requests in writing that his account statements be held by the
firm while he spends the winter in Florida. In response to the customer's
request, the firm is permitted to honor the request Correct Answer-for a
maximum of three months
Which of the following is not an example of a restricted person under
FINRA rules? Correct Answer-The uncle of a restricted person
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